NexPoint Residential Trust (NXRT) officer exercises RSUs and updates share holdings
Rhea-AI Filing Summary
NexPoint Residential Trust, Inc. officer Paul Richards reported routine equity compensation activity involving restricted stock units and related tax withholding. On May 22, 2026, he exercised derivative awards covering 2,143 shares of common stock, converting an equal number of restricted stock units into shares at a stated conversion price of $0.00 per share.
To cover tax obligations, 1,024 shares of common stock were disposed of as a tax-withholding transaction at $29.74 per share, rather than an open-market sale. Following these transactions, Richards directly held 32,103 shares of common stock and indirectly held 3,788 shares through a 401(k) plan. A prior grant of 10,715 restricted stock units vests in stages through February 15, 2029, with settlement generally within 10 days of each vesting date and potentially in shares or cash at the Compensation Committee’s discretion.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Buyer: 1,119 shares
Net Buy
4 txns
Insider
Richards Paul
Role
See Remarks
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 2,143 | $0.00 | $0.00 |
| Exercise | Common Stock | 2,143 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Stock | 1,024 | $29.74 | $30K |
| holding | Common Stock | -- | -- | -- |
Holdings After Transaction:
Restricted Stock Units — 8,572 shares (Direct);
Common Stock — 32,103 shares (Direct);
Common Stock — 3,788 shares (Indirect, By 401(k) plan.)
Footnotes (2)
- F1. Each restricted stock unit represents a contingent right to receive one share of common stock of NexPoint Residential Trust, Inc.
- F2. On April 22, 2025, the reporting person was granted 10,715 restricted stock units which vested one-fifth on April 22, 2026 and which will vest one-fifth on February 15, 2027, one-fifth on February 15, 2028 and two-fifths on February 15, 2029. Settlement will generally occur within 10 days of vesting and may at the discretion of the Compensation Committee be settled in cash.
Key Figures
Derivative exercise shares: 2,143 shares
Tax-withheld shares: 1,024 shares
Tax-withholding price: $29.74 per share
+4 more
7 metrics
Derivative exercise shares
2,143 shares
Common Stock acquired via derivative exercise on May 22, 2026
Tax-withheld shares
1,024 shares
Common Stock disposed in tax-withholding transaction on May 22, 2026
Tax-withholding price
$29.74 per share
Price for 1,024 Common Stock shares used for tax liability
Direct holdings after transactions
32,103 shares
Common Stock directly owned following May 22, 2026 transactions
Indirect 401(k) holdings
3,788 shares
Common Stock held indirectly through 401(k) plan after transactions
RSU grant size
10,715 restricted stock units
Grant to Paul Richards on April 22, 2025
RSU vesting dates
Apr 22, 2026; Feb 15, 2027; Feb 15, 2028; Feb 15, 2029
Scheduled vesting for the 10,715 RSU grant
Key Terms
Restricted Stock Units, tax-withholding disposition, derivative exercise/conversion, derivative security, +2 more
6 terms
Restricted Stock Units financial
"On April 22, 2025, the reporting person was granted 10,715 restricted stock units which vested one-fifth on April 22, 2026..."
Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.
tax-withholding disposition financial
"transaction_action": "tax-withholding disposition""
A tax-withholding disposition is an event or transaction—such as selling or transferring securities, exercising options, or receiving compensation—that triggers a requirement to hold back part of the payment and remit it to tax authorities. It matters to investors because it reduces the cash they receive immediately and can change the timing and amount of taxable income, like a cashier taking a portion of your sale proceeds to pay taxes before you get the rest.
derivative exercise/conversion financial
"transaction_action": "derivative exercise/conversion""
derivative security financial
"transaction_code_description": "Exercise or conversion of derivative security""
A derivative security is a financial contract whose value comes from the price or performance of something else, such as a stock, bond, commodity, or market index. For investors it acts like an insurance policy or a wager: it can be used to protect against losses, lock in prices, or amplify gains and losses, so it can change a portfolio’s risk and potential return without owning the underlying asset directly.
401(k) plan financial
"nature_of_ownership": "By 401(k) plan.""
A 401(k) plan is a workplace retirement account that lets employees set aside part of their pay into a tax-advantaged savings pot, often with employers adding matching contributions — like a workplace piggy bank for future income. It matters to investors because the amount people save and how employers fund these plans influence consumer spending, corporate payroll costs and the flow of money into financial markets, which can affect stock prices and company valuations.
contingent right financial
"Each restricted stock unit represents a contingent right to receive one share of common stock..."
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What insider transactions did NexPoint Residential Trust (NXRT) report for Paul Richards?
NexPoint Residential Trust officer Paul Richards exercised derivative awards for 2,143 common shares and had 1,024 shares withheld to cover taxes. These transactions reflect routine equity compensation activity, not open-market buying or selling, and update his reported ownership in the company.
What was the nature of the tax-withholding transaction in NXRT’s Form 4?
The Form 4 shows a tax-withholding disposition of 1,024 NexPoint Residential Trust common shares at $29.74 per share. This F-code transaction paid exercise price or tax liability by delivering shares to the issuer, and does not represent an open-market sale by Paul Richards.
How many restricted stock units did Paul Richards have in NexPoint Residential Trust (NXRT)?
A prior grant awarded Paul Richards 10,715 restricted stock units in NexPoint Residential Trust. One-fifth vested on April 22, 2026, and additional portions are scheduled to vest on February 15, 2027, February 15, 2028, and February 15, 2029, under the disclosed vesting schedule.
What does each restricted stock unit represent for NexPoint Residential Trust (NXRT)?
Each restricted stock unit granted to Paul Richards represents a contingent right to receive one share of NexPoint Residential Trust common stock. Settlement generally occurs within 10 days of vesting and, at the Compensation Committee’s discretion, may be settled in either shares of stock or cash.
Were the NXRT insider transactions open-market buys or sells by Paul Richards?
The disclosed transactions were not open-market buys or sells. They consisted of exercising derivative awards for 2,143 shares of common stock and a tax-withholding disposition of 1,024 shares to satisfy obligations, consistent with standard equity compensation mechanics rather than discretionary market trading.